USDG Backing Assets

How USDG maintains its 1:1 peg

Besides maintaining a hard 1:1 peg, the actual cash reserves are deployed to limit storage liability yet maintain high liquidity. Gypsy's holdings can be seen in real-time on the explorer page on gypsytoken.org. Gypsy will post monthly documents going over holdings

Asset breakdowns are as follows:

Holding	Percentage
Cash & Cash Equivalent & Commercial Paper	90%
Corporate Bonds & Funds & Precious Metals	4.5%
Secured Loans (none to affiliated entities)	5.5%

Cash & Cash Equivalent & Commercial Paper breakdown:

Holding	Percentage
U.S. Treasury Bills	55%
Commercial Paper & Certificate of Deposits	29%
Money Market Funds	9.8%
Cash & Bank Deposits	5.8%
Non-U.S. Treasury Bills	0.4%
Reverse Repurchase Agreement	1%

How does $USDG manage its backing holdings?

Gypsy holds all cash deposited throughout the day and makes a purchase of non-cash assets at 12 pm EST every day. If there is a large withdrawal from USDG holders, then Gypsy will automatically begin selling non-cash assets for cash to always maintain liquidity.